A Martin Lewis fan shared how she managed to reduce her annual water bill by £400. Jennifer, a reader of MoneySavingExpert.com, discovered her bill was set to exceed £800 per year. After learning about water social tariffs on the MSE website, she explored this option and found she could cut her bill by 50%.
Water social tariffs offer discounted rates for water and sewerage charges, typically for individuals with low incomes or those receiving benefits. The availability of support and eligibility criteria vary among water companies, with an estimated 3.8 million households potentially missing out on such benefits.
In a recent MSE newsletter, Jennifer expressed her gratitude for the savings, mentioning that she was unaware of social tariffs for low-income individuals before reading about it on MSE. By applying for the tariff, she secured a 50% reduction in her water bill.
Different water companies offer various support programs. For instance, Affinity Water limits water bills to £143.80 per year, or £95.80 for those receiving council tax support. Eligibility often requires an income below £19,995, excluding benefits, or claiming specific benefits such as Universal Credit or Pension Credit.
South East Water provides the Big Difference tariff, granting a 30% discount if household income falls between £17,000 and £21,000. Those with incomes below £17,000 receive a 50% reduction. Thames Water offers a 50% discount if the water bill exceeds 5% of the individual’s net income through its WaterHelp tariff.
Water bills in England and Wales are set to increase by an average of £33 annually starting this April, representing a 5.4% hike, higher than the current inflation rate of 3.4%. Regulator Ofwat allowed water companies to raise average bills by 36% over a five-year period until 2030 to fund a £104 billion infrastructure investment program and prevent sewage spills.
While switching water companies is not possible, there are ways to save money on water bills. Simple actions like reducing shower time by a minute and turning off taps when not in use can lead to significant savings. Additionally, individuals can check for free water-saving devices through platforms like Save Water Save Money.
Consider installing a water meter, as suggested by Martin Lewis, especially if there are more bedrooms in the house than occupants. This can help optimize water usage and potentially reduce costs.